Money bypassed Hamas
צילום: רויטרס
Abbas' office receives USD 50 million from Arab League
Sum is largest amount of international aid to reach Palestinians since Hamas won legislative elections
Palestinian President Mahmoud Abbas' office on Tuesday received USD 50 million from the Arab League, officials said, the largest amount of international aid to reach the Palestinians since Hamas group won legislative elections.
The officials said the money had bypassed Hamas and was sent directly to Abbas. The officials declined to say how the money would be spent. They spoke on condition of anonymity because they weren't authorized to talk to the media.
The Arab League had been holding the USD 50 million on behalf of Hamas in an account in Egypt. But international banks balked at transferring the money, fearing US anti-terrorism sanctions.
Officials said last week that the money would be sent to Abbas, who enjoys good relations with the US. The cash finally arrived on Tuesday. Mohammed Awad, the Palestinian Cabinet secretary, said Hamas had agreed to allow Abbas to handle the money.
Funds to pay salaries
He said the funds had come from Arab governments and would be used to pay long-overdue salaries to civil servants, who haven't been paid in four months. "We were aware of the arrival of this money," Awad said. "It was with our knowledge and part of the efforts of the government" to raise money.
Under a deal with Abbas, the president will pay the salaries directly to civil servants, and the Hamas-run Finance Ministry will not handle the funds, he said. The officials in Abbas' office would only say the money will be used "to ease the economic situation."
The Palestinian government is the largest employer in the West Bank and Gaza Strip, providing the main income for roughly one-third of households. The government's financial crisis has worsened hardship in what already was a devastated economic situation after years of fighting with Israel. The Hamas government, nearly bankrupted by the international sanctions, has resorted to bringing cash in suitcases to help keep itself afloat.
Even with the new infusion of funds, the government is over USD 1 billion in debt, with much of that money owed to the work force. The government needs about USD 150 million each month to cover its expenses.
